Everything you need to know about the home insurance claims process

Home insurance claims can be a bit daunting if you’ve never navigated the process before. Here’s a comprehensive overview:

1. Understand Your Policy:

Before you can file a claim, it’s essential to understand what your policy covers. Most standard homeowners insurance policies provide coverage for:

• Dwelling (your home’s structure)
• Other structures (sheds, fences, etc.)
• Personal property (furniture, electronics, etc.)
• Loss of use (additional living expenses if you can’t live in your home)
• Personal liability
• Medical payments

2. Immediately Document the Damage:

If your property is damaged or burglarized:

• Take photos or video of the damage.
• Create a list of damaged or stolen items, including their value.

3. Notify Authorities if Necessary:

For theft, vandalism, or instances where a law may have been broken, inform the police. Obtain a copy of the police report, as this can support your claim.

4. Contact Your Insurance Company:

• Initiate the claim as soon as possible after the incident.
• Provide basic details about what happened, and your insurer will guide you on the next steps.

5. Fill Out Claim Forms Promptly:

Your insurer will send you claim forms to be filled out. Complete them accurately and return them as soon as possible.

6. Get Estimates for Repairs:

• Your insurance company might recommend contractors, but you can also get your own estimates.
• Ensure the estimates detail the scope of the work and material specifics.

7. Insurance Adjuster’s Visit:

• The company may send an adjuster to inspect the damage. They will assess the situation and determine how much the insurance company should pay for the loss.
• Be present during this inspection. If you have a contractor you trust, it might be helpful to have them there as well.

8. Determine Settlement Amount:

Once the adjuster submits their report, the insurance company will propose a settlement amount. This is how much they’re willing to pay for repairs or replacement.

9. Disbursement of Funds:

There are different ways funds can be disbursed:

• Actual Cash Value (ACV): This pays out the value of the property or damage after accounting for depreciation.
• Replacement Cost: This pays out the amount it would take to replace or rebuild the property without deducting for depreciation.

10. Repair or Replacement:

• Once you’ve received the funds, you can begin repairs or replacements.
• Always vet contractors and ensure they’re licensed, insured, and reputable.

11. Dispute Resolution (if needed):

If you disagree with the insurance company’s assessment or settlement offer:

• Talk to your adjuster first.
• If unresolved, consider a public adjuster who can advocate on your behalf (though they will charge a fee).
• As a last resort, legal action can be considered.

12. Closing the Claim:

Once repairs are complete and payments are made, the insurance company will close the claim.

Tips:

• Always keep an updated inventory of your belongings, including photos, receipts, and other proofs of ownership.
• Regularly review your policy to ensure you have adequate coverage.
• Keep good communication with your insurance representative. Promptly answer any questions and provide necessary documentation.

Remember, the process may vary slightly based on your insurance company and specific policy provisions.